Brand
Finance
German
Top 30
®
A short report on Germany’s
most valuable brands
April 2012
Executive Summary
Welcome to the first ever BrandFinance®
German Top 30 Report highlighting the winners
as well as showing an in depth analysis of the
Top 30 brands.
• The first edition of the BrandFinance®
German Top 30 league table shows a total
brand value of €167.5 billion and a total
enterprise value of €878.3 billion
• The Automobile and Insurance sectors
contributed most to the Top 30 and have
both responded well to the recession
• Recent demand from Asia drives German
auto industry growth which unsurprisingly
reflects that the automobile industry
dominates the Top German Brands with
five companies making up 31.8% (€53.4
billion) of total brand value
• The most valuable German brand is
BMW with a brand value of €16 billion,
an enterprise value of €72.8 billion and a
brand rating of AAA• Closely following BMW is Mercedes Benz
with a brand value of €14.9 billion, an
enterprise value of €60.2 billion and a
brand rating of AAA- and Volkswagen with
a brand value of €13.4 billion, an enterprise
value of €81 billion and a brand rating of AA
• Insurance brands on the other hand
(Allianz, Munich Re and Ergo) only
contributed €14.2 billion to the league table
“
Brands are the most valuable intangible assets in
business today. They drive demand, motivate staff,
secure business partners and reassure financial
markets. Leading edge organisations recognise the
need to understand brand equity and brand value
when making strategic decisions
2
”
David Haigh, CEO, Brand Finance
© Brand Finance plc 2012
Contents
Executive Summary ......................................... 02
Top 10 Most Valuable German Brands .... 04
Germany’s Most Valuable Brands 2012 .. 06
Germany’s Top 3 ............................................... 08
Top 30 Most Valuable German Brands .. 11
About Brand Finance .............................. 12
Our Services ......................................... 13
Disclaimer ............................................. 14
Contact Details ..................................... 15
© Brand
2 Finance plc 2012
3
Top 10
Most
Valuable
German
Brands
4
© Brand Finance plc 2012
EUR 16,035 million
EUR 14,904 million
EUR 13,393 million
EUR 12,309 million
EUR 9,733 million
EUR 9,085 million
EUR 8,259 million
EUR 7,312 million
© Brand Finance plc 2012
EUR 6,819 million
EUR 6,161 million
5
In Brands We Trust
An in depth analysis of the
BrandFinance® German Top 30
As the German economy provides a shining
example to the rest of Europe, so too must
German businesses and industry lead the
way whilst the continent remains burdened
with heavy debts and financial crises. German
brands are particularly trusted for being highquality and high-tech. Such an image is the
basis of strong foundation already fabricated
in the mind of consumers. In the midst of the
Eurozone crisis, this strength has enabled
Germany to sustain the shape of its economy.
For example, recent demand on its automobile
production from Asia has driven up the value
of its auto brands thus increasing its gross
domestic product.
The first ever BrandFinance® German Top
30 league table, launched in Munich on April
18th 2012, noted a total brand value of €167.5
billion. Unsurprisingly the automobile industry
dominates the Top German Brands with
five companies especially making up 31.8%
(€167.5 billion) of total brand value. Despite
the grim economic situation, the German
automobile industry remained stable in 2011
and even increased its domestic market share
while denoting record export volumes for
passenger vehicles at the same time. As a
result, the top three BrandFinance® German
Brands have been ranked as BMW, MercedesBenz and Volkswagen.
BMW has been ranked as Germany’s Most
6
Valuable Brand in 2012 after increasing its
brand value to €16 billion, a 12% increase over
2011. The financial year of 2011 marked the
best ever year of the BMW Group’s corporate
history, making BMW the market leader within
the premium car segment. Meanwhile the world
premiere of the new BMW 3 series, as well as
innovative progress within the BMW i-family
(electric vehicles or plug-in hybrids), supported
BMW’s vigorous brand value development.
However, rivals Volkswagen achieved the
largest brand value increase with an increase
of 49% compared to last year, making it the
fastest growing brand within entire the league
table. During the past years, exploding growth
rates from China and India strongly influenced
the successful development of the German
automotive sector through an increasing
demand for premium cars, making export
one of the main pillars for BMW, MercedesBenz and Volkswagen. Yet 2012 is expected
to be a challenging year for German car
manufacturers, depending also on the world
economic situation, as India’s and China’s
growth rates are expected to slow down further,
spurred by restrictive lending policies and
high inflation rates and thus putting additional
pressure on German brands.
The strong performance of the automobile
sector this year can also be related to the
consumers’ appetite for premium products,
© Brand Finance plc 2012
a trend that has already be seen within the
BrandFinance® Global 500. The Global 500,
where Apple was ranked as the World’s Most
Valuable Brand, revealed how the global
downturn has spawned a new breed of
recession proof and aspirational “Alphabrands”
which consumers turn to for quality regardless
of the economic conditions. Instead of looking
for the cheapest price, German consumers
have acted in a similar manner and they appear
to be increasingly focused on quality and
security, a behaviour also spurred by recent
German food scandals and product recalls.
Consumers must be able to trust the brands
they select which has also put increasing even
more pressure on banking brands suffering from
the on-going European sovereign debt crisis.
Difficult operating conditions and tightened
equity capital requirements for major banks
also affected strong German brands such as
Deutsche Bank and DZ Bank which had to face
a decrease in brand value of -10% (to €9.7
billion) and -19% (to €2.5 billion) respectively.
Meanwhile the German chemical industry
is one of the strongest performers within the
BrandFinance® German Top 30 and appears
to be largely unaffected by the current
economic climate. As one of Germany’s most
vital industries, chemical products made in
Germany are especially competitive on an
international basis due to their high quality and
innovative character. An ageing and rapidly
growing population is further boosting the
demand for innovative health care products
and sustainable solutions. Germany’s largest
chemical corporations BASF and Bayer also
profited from this development, resulting in an
increase in brand value of 32% (to €4.1 billion)
and 24% (to €2.6 billion) respectively. In 2011,
BASF marked an incredible increase of 35.8%
in net income compared to 2010, although
business was especially affected by the natural
disaster in Japan and the national debt crisis in
Europe.
The summer 2011 marked a comeback of the
debt crisis leading to alienated investors and
collapsing profits also felt by Deutsche Bank
which had initially been aiming for record profits
in 2011. The German giant Commerzbank did
not even make it into the Top 30 league table
this year.
© Brand Finance plc 2012
7
Germany’s Top 3
01.
20122011
Brand Ranking 1
2
Brand Value (EUR €) 16,035
14,311
Brand Rating
AAA-
AA+
DomicileGermany
Founded in 1916 already, the BMW (Bayerische Motoren
best year of the BMW Group’s corporate history, making
Werke) Group now represents one of Germany’s largest
BMW market leader within the premium car segment.
industrial companies and belongs to the world’s most
The world premiere of the new BMW 3 series, as well as
successful car and motorcycle manufacturers. The BMW
the innovative progress within the BMW i-family (electric
Group owns three of the strongest premium brands in
vehicles or plug-in hybrids) supported BMW’s vigorous
the automobile industry: BMW, MINI and Rolls Royce,
brand value development. The company also achieved
all attempting to set the highest standards in terms of
the highest brand rating with the ranking, AAA-.
aesthetics, dynamics, technology and quality.
In 2012, BMW represents Germany’s most valuable
brand, increasing its brand value to €16 billion, a 12%
increase over 2011. The financial year of 2011 marked the
8
© Brand Finance plc 2011
02.
20122011
Brand Ranking 2
1
Brand Value (EUR €) 14,904
14,766
Brand Rating
AAA-
AA
DomicileGermany
Mercedes-Benz is a division of its parent company
The brand was not strong enough however to hold
Daimler AG and has been around for years and is one of
off the increase in BMW’s brand value and as a result
the oldest German car-making companies.
Mercedes Benz has been knocked off the number one
2011 represented a record-breaking year for the
Mercedes-Benz Cars division, unit sales, revenue,
earnings and production volumes reaching all-time highs.
The strong growth has especially been supported by
position in the 2012 BrandFinance® German Top 30
study. Mercedes Benz’s brand value increased by 18% to
€14,904 million in 2012, and, as a result has continued to
improve its brand rating to AAA- level.
the launch of new models such as the new-generation
C-Class, the SLK roadster and the new B-Class, as
well as by the expansion of the manufacturer’s global
production network.
© Brand Finance plc 2012
9
03.
20122011
Brand Ranking 3
5
Brand Value (EUR €) 13,393
9,020
Brand Rating
AA
A+
DomicileGermany
The Volkswagen Group has been around for 75 years and
Passenger Cars brand were up 15.2% compared to
belongs to the world‘s leading automobile manufacturers.
2010, primarily due to high growth rates in the USA,
The Volkswagen Group represents the largest carmaker
Argentina and South Africa. The up! Model, as well as the
in Europe, consisting of ten fascinating and versatile
new Beetle and the new Golf Cabriolet met with a positive
subbrands including VW, Audi, Skoda, Seat, Bentley,
reception from the market.
Scania, Lamborghini, Bugatti, and Porsche. Since
January 2007, Martin Winterkorn has been successfully
working on strengthening the brand’s position both on
a national and international level whilst recovering the
company’s profitability.
Spurred by its strong financial performance, Volkswagen’s
brand value grew by incredible 49% compared to 2011,
making the carmaker the third most valuable brand within
the BrandFinance® German Top 30.
During the fiscal year 2011, unit sales for the Volkswagen
10
© Brand Finance plc 2012
2011
Top 30 Most
Valuable German
Brands
Rank
2012
Rank
2011
Brand
Industry Group
Brand
Value
2012 (€
millions)
Brand
Rating
2012
Enterprise
Value
2012 (€
millions)
Brand
Value /
Enterprise
Value
2012 (%)
Brand
Brand
Value 2011 Rating
(€ millions) 2011
Brand
Enterprise Value /
Value 2011 Enterprise
(€ millions) Value 2011
(%)
1
2
BMW
Automobiles
16,035
AAA-
72,767
22%
14,311
AA+
65,940
22%
2
1
Mercedes-Benz
Automobiles
14,904
AAA-
60,201
25%
14,766
AA
81,173
18%
3
5
Volkswagen
Automobiles
13,393
AA
81,027
17%
9,020
A+
58,537
15%
4
3
Siemens
Miscellaneous
Manufacture
12,309
AA+
74,420
17%
11,906
AA+
73,676
16%
5
4
Deutsche Bank
Banks
9,733
AA+
25,020
39%
10,770
AA+
37,234
29%
6
6
T Mobile
Telecommunications
9,085
AA+
62,989
14%
8,203
AA
53,943
15%
7
7
Allianz
Insurance
8,259
AA
38,413
22%
7,738
AA
36,165
21%
8
8
E.ON
Utilities
7,312
A+
64,740
11%
7,464
A+
74,909
10%
9
10
SAP
Technology
6,819
AAA-
56,793
12%
5,706
AAA-
43,174
13%
10
9
DHL
Transportation
6,161
AA-
12,579
49%
6,942
AA-
15,356
45%
11
11
Adidas
Apparel
5,393
AAA-
8,641
62%
4,795
AAA-
7,548
64%
12
14
Deutsche Telekom
Telecommunications
4,425
AA+
25,176
18%
4,320
AA-
26,072
17%
4,204
AA+
6,427
65%
4,664
AA+
7,226
65%
13
12
Nivea
Cosmetics/Personal
Care
14
17
BASF
Chemicals
4,084
AA+
63,392
6%
3,119
AA+
57,090
5%
15
13
Metro
Retail
3,995
A+
9,749
41%
4,329
A+
10,946
40%
16
16
Munich Re
Insurance
3,820
AA-
10,814
35%
3,186
AA-
11,306
28%
17
22
Audi
Automobiles
3,440
AA+
13,139
26%
2,655
AA-
16,766
16%
18
15
RWE
Utilities
3,315
A+
24,166
14%
3,499
A+
27,634
13%
19
19
Media Markt & Saturn
Retail
3,169
AA-
6,168
51%
2,935
AA-
6,271
47%
20
-
Daimler
Automobiles
3,019
AA-
14,921
20%
-
-
-
-
21
20
Fresenius Medical Care
Healthcare
2,937
AA-
19,776
15%
2,804
AA
17,155
16%
22
-
Skoda
Automobiles
2,700
AA-
12,427
22%
-
-
-
-
23
24
Bayer
Chemicals
2,565
AA+
46,474
6%
2,067
AA-
53,786
4%
24
18
DZ Bank
Banks
2,512
A
n/a
n/a
3,055
AA-
n/a
n/a
25
-
Thyssenkrupp
Iron/Steel
2,504
AA-
19,495
13%
-
-
-
-
26
21
Lufthansa
Airlines
2,486
AA+
5,073
49%
2,699
AA+
6,101
44%
27
25
Continental
Automobile Parts
2,352
AA-
10,225
23%
2,003
A+
9,558
21%
28
23
EnBW
Utilities
2,269
A
14,743
15%
2,071
A
13,176
16%
29
27
Ergo
Insurance
2,157
AA-
7,515
29%
1,818
AA-
7,857
23%
30
26
MAN
Machinery-Diversified 2,099
AA
11,043
19%
1,868
AA
12,548
15%
© Brand Finance plc 2012
11
About
Brand Finance
Brand Finance is an independent global
business focused on advising strongly branded
organisations on how to maximize value through
the effective management of their brands and
intangible assets.
Since it was founded in 1996, Brand Finance has
performed thousands of branded business, brand and
intangible asset valuations worth trillions of dollars.
Brand Finance’s services support a variety of
business needs:
• Technical valuations for accounting, tax and
legal purposes
• Valuations in support of commercial transactions
(acquisitions, divestitures, licensing and joint ventures)
involving different forms of intellectual property
• Valuations as part of a wider mandate to deliver
value-based marketing strategy and tracking, thereby
bridging the gap between marketing and finance.
Our clients include international brand owners, tax
authorities, IP lawyers and investment banks. Our
work is frequently peer-reviewed by the big four audit
practices and our reports have also been accepted by
various regulatory bodies, including the UK Takeover
Panel.
Brand Finance is headquartered in London and has
a network of international offices in Amsterdam,
Bangalore, Barcelona, Cape Town, Colombo, Dubai,
Geneva, Helsinki, Hong Kong, Istanbul, Lisbon,
Madrid, Moscow, New York, Paris, Sao Paulo, Sydney,
Singapore, Toronto and Zagreb.
www.brandfinance.com
12
© Brand Finance plc 2012
Our Services
At Brand Finance, we are entirely focussed on
quantifying and leveraging intangible asset value.
Our services compliment and support each other,
resulting in robust valuation methodologies, which
are underpinned by an in-depth understanding of
revenue drivers and licensing practice.
Valuation
Analytics
Strategy
Transactions
We perform valuations
for financial reporting,
tax planning, M&A
activities, joint ventures,
IPOs and other
transactions. We work
closely with auditors, tax
authorities and lawyers.
Our analytical services
help clients to better
understand the drivers
of business and brand
value. Understanding
how value is created,
where it is created
and the relationship
between brand value
and business value is
a vital input to strategic
decision making.
We give marketers the
framework to make
effective economic
decisions. Our valuebased marketing service
enables companies
to focus on the best
opportunities, allocate
budgets to activities that
have the most impact,
measure the results and
articulate the return on
brand investment.
We help private equity
companies, venture
capitalists and branded
businesses to identify
and assess the value
opportunities through
brand and market due
diligence and brand
licensing.
Financial reporting
Brand equity drivers
Brand strategy
Brand due diligence
Tax and transfer pricing
Brand strength analysis
Brand architecture
Brand licensing
Litigation
Brand risk analysis
(ßrandßeta®)
Brand extension
Fundraising
Investor relations
Brand scorecards
Budget setting and
allocation
Marketing mix modelling Brand value added
(BVA®)
Marketing ROI
© Brand Finance plc 2012
13
Disclaimer
Brand Finance has produced this study with
an independent and unbiased analysis. The
values derived and opinions produced in this
study are based only on publicly available
information and certain assumptions that Brand
Finance used where such data was deficient or
unclear. No independent verification or audit of
such materials was undertaken. Brand Finance
accepts no responsibility and will not be liable in
the event that the publicly available information
relied upon is subsequently found to be
inaccurate.
The BrandFinance® Germany 30 brand valuations
follow IVSC guidance but will only comply with
ISO 10668 Monetary Brand Valuation Standard
when accompanied by detailed Legal and Behavioral
analysis.
The conclusions expressed are the opinions of
Brand Finance and are not intended to be warranties
or guarantees that a particular value or projection
can be achieved in any transaction. The opinions
expressed in the report are not to be construed as
providing investment advice. Brand Finance does
not intend the report to be relied upon for technical
reasons and excludes all liability to any organisation.
14
© Brand Finance plc 2012
Contact details
Brand Finance plc is the leading brand valuation
and strategy firm, helping companies to manage
their brands more intelligently for improved
business results.
For further enquiries relating to this report, please contact:
David Haigh
CEO
d.haigh@brandfinance.com
Richard Yoxon
For further information on BrandFinance®’s services
and valuation experience, please contact your local
representative:
Name of Contact
Email address
Australia
Tim Heberden
t.heberden@brandfinance.com
Brazil
Gilson Nunes
g.nunes@brandfinance.com
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Edgar Baum
e.baum@brandfinance.com
Croatia
Borut Zemljic
b.zemljic@brandfinance.com
Dubai
Gautam Sen Gupta
g.sen-gupta@brandfinance.com
East Africa
Jawad Jaffer
info@brandfinance.co.ke
France
Richard Yoxon
r.yoxon@brandfinance.com
Germany
Mirjam Erhardt
m.erhardt@brandfinance.com
Holland
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m.cloosterman@brandfinance.com
Hong Kong
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r.purser@brandfinance.com
India
Unni Krishnan
u.krishnan@brandfinance.com
Korea
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m.hannagan@brandfinance.com
Portugal
Managing Director
João Baluarte
j.baluarte@brandfinance.com
Russia
r.yoxon@brandfinance.com
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a.eremenko@brandfinance.com
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s.dixit@brandfinance.com
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o.schmitz@brandfinance.com
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Sri Lanka
Ruchi Gunewardene
r.gunewardene@brandfinance.com
Switzerland
Richard Yoxon
r.yoxon@brandfinance.com
Turkey
Muhterem İlgüner
m.ilguner@brandfinance.com
United
Kingdom
Richard Yoxon
r.yoxon@brandfinance.com
USA
(Chicago)
Elise Neils
e.neils@brandfinance.com
USA
(New York)
William E Barker
w.barker@brandfinance.com
Prof. Malcolm McDonald
Chairman UK
m.mcdonald@brandfinance.com
For all other countries, please email:
enquiries@brandfinance.com
+44 (0)207 389 9400
www.brandfinance.com
www.brandirectory.com
www.brandfinanceforums.com
© Brand Finance plc 2012
15
The world’s leading
independent brand
valuation consultancy
www.brandfinance.com
16
© Brand Finance plc 2011